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February 1st 2012 - General Dynamics UK welcomes Defence White Paper

 

General Dynamics UK welcomes the British Government’s White Paper on Defence published by the Secretary of State for Defence today, and its focus on the following important points:
 
·         Protecting and growing investment in Science and Technology research and development thereby deriving real UK technological advantage and sovereign capability for current and future requirements;
·         Committing to competitive acquisition of the best capability at the best value for money through a variety of means including Modified Off the Shelf procurement;
·         Supporting the value of SME’s to defence programmes and prime contractors;
·         Focusing on exports by appointing a Director of Export Coordination, and insisting on the importance of including exportability at the requirements stage of all UK programmes.
 
The tenets of today’s White Paper are at the very heart of what General Dynamics UK does. As an example, the Specialist Vehicle (SV) programme (contracted in July 2010), for which General Dynamics UK is prime contractor, typifies the Government’s aspirations as laid out in today’s White Paper. SV is a tangible demonstration of how investment in British Science & Technology can inject significant UK sovereign capability into a European Off-the-Shelf product. Through its modification in the UK of an Off-the-Shelf platform – a process called Modified Off the Shelf or MOTS - General Dynamics UK delivers increased value for money to the British taxpayer, supports thousands of UK jobs in its SME supply chain over a 30 year lifespan, and also creates inherent exportability for the product, making SV a key capital programme for the UK economy. [1]  
 
General Dynamics UK also welcomes the Government’s comments on inward investment given the company’s track record of investing in the UK over the last 50 years, and looks forward to understanding more about the Government’s plans to encourage and increase such investment. General Dynamics UK also looks forward to continuing its work in supporting and developing the potential of SME’s for UK Security and Defence, whether for its Tactical Communications, Armoured Fighting Vehicle or Security and Resilience capabilities, through its EDGE UK® facility in South Wales.
ENDS
Note to Editors:
An economic study conducted by Ernst & Young proves that the Modified Off-the-Shelf (MOTS) approach employed by General Dynamics UK to producing defence equipment brings very high levels of economic benefit to the UK. General Dynamics UK’s key MoD programmes, including Bowman and SV, are exemplars of the MOTS approach where existing technology was adapted to a UK requirement. Ernst & Young has indicated that the ongoing economic benefit of General Dynamics UK’s presence in the UK could be almost £20 billion in the next 15 years, with Gross Value Added (GVA) of approximately £10 billion. 50% of this GVA value is estimated to come from the Specialist Vehicle (SV) programme. HM Treasury income from General Dynamics UK could increase to £613 million in the same 16 year period, whilst exports of SV could result in revenue of approximately £1.3 billion for the UK economy.
 
About General Dynamics
General Dynamics United Kingdom Limited, a wholly owned subsidiary of General Dynamics (NYSE: GD), is a leading player in the UK’s knowledge economy and industrial base. Established in the United Kingdom for 50 years, it employs over 1,650 people at 11 UK and international facilities. A prime contractor and complex systems integrator, working in partnership with the Ministry of Defence (MoD) and other allies, growing key intellectual property, skills and capabilities in its UK research facilities and workforce, whilst harnessing world-leading technology.
General Dynamics UK led a key MoD Defence Technology Centre research consortium and, together with a growing C4I export programme, plays a central role manufacturing and developing technology to deliver network enabled capability and C4ISTAR in the battlespace. General Dynamics UK is also the leading provider of Force Protection to the MoD. For further information visit www.generaldynamics.uk.com
General Dynamics, headquartered in Falls Church, Virginia, employs approximately 95,100 people worldwide.  The company is a market leader in business aviation; land and expeditionary combat systems, armaments and munitions; shipbuilding and marine systems; and information systems and technologies. More information about the company is available on the Internet at www.generaldynamics.com.

[1] SV, engineered in South Wales to a specific British Army requirement, will not only deliver the best protection to British troops when it enters service, but will deliver significant export value to the UK should other nations choose its leading-edge technology for their land forces.
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